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Shein Settles California Shipping Suit for $700,000

Under the agreement Shein must follow California’s consumer shipping rules prohibiting misleading delivery promises.

Several Bay Area and other California prosecutors settled a lawsuit with the fast-fashion company Shein after claiming the company was illegally causing shipping delays. 
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Overview

  • District attorneys from Napa, Sonoma, San Francisco and Los Angeles counties sued Shein for allegedly failing to ship online orders within California’s 30-day deadline and neglecting refund and notification requirements.
  • Under the agreement, Shein will pay $700,000—split between $600,000 in civil penalties and $100,000 in investigative costs—to settle the consumer protection claims.
  • A court injunction prohibits Shein from making untrue or misleading statements about delivery timelines and enforces compliance with the state’s 30-day shipping law.
  • The lawsuit targeted three Delaware-based companies tied to Shein’s U.S. operations for false advertising and unfair competition against retailers that comply with shipping rules.
  • Shein has not admitted liability but says it fully cooperated with the investigation and updated its customer service and shipping practices to meet legal standards.